This is very important topic of Insurance Law. Before the contribution principle kicks in for insurance companies, a double insurance situation has to meet certain requirements. The person entering into a contract should enter with his free consent. 7th Aug 2019 Commercial Law Reference this Tags: International Law. BANKING & INSURANCE: INSURANCE Insurance is a contract to pay compensation in certain eventualities (e.g., death, fire, theft, motor accident) in return for a… 6d.) endobj The doctrine of subrogation is corollary to the principle of indemnity. [The] rule to be applied is causa proxima non remota spectatur." The ship was hit by a torpedo and despite the severe damage it still reached the port, where repair work was started. 0000003598 00000 n MrJustice Wright. O��=�p �6� The ship was insured under a policy that covered perils of the seas, however excluded war risks. It is the duty of the buyer to check the quality and the usefulness of the product he is purchasing. The question, which is the causa proxima of a loss, can only arise where there are a succession of causes. 0000004619 00000 n 0000096147 00000 n Causa proxima. (c)Doctrine of utmost Good faith . A few … Contribution: • The insurers must share the burden of payment in proportion to the amount insured by each • If one of the insurers pays the whole loss, he is entitled to contribution from other insurers. The Bremen Court of Appeal recently held that the proximate cause of a vessel's grounding after its main engine had cut out was the bad weather… In that context, a contract may be described as an agreement that the law (the Courts) will enforce. Insurance regulation that governs the business of insurance is typically aimed at assuring the solvency of insurance companies. Insurance law is the name given to practices of law surrounding insurance, including insurance policies and claims. If you break (breach) the contract, the other party has several legal remedies. [W Kulundu-Bitonye] see the proximate cause and not the distant cause. When an insurance company insure with another insurance … The maxim "causa proxima non rempota spectature." State law may allow an insurance policy to exclude coverage of an accident that occurs because the policy holder is drunk or on illegal drugs. 0000138352 00000 n Insurers’ liability is excluded if the proximate cause was an excluded peril. Journal of Maritime Law & Commerce, Vol. vi) Causa Proxima: In a contract of insurance, the governing rule is the proximate cause to fix the liability of the insurer. 831 at p. 697 in footnote 42, the position is that '[d]amage to the structure is to be distinguished from a defect in the structure; thus, it is submitted, the assured could not recover under the [latent defect] clause were it to be concluded that the structural weakness in the hull must have been due 3, July, 2003 Causa Proxima Non Remota Spectatur: The Doctrine of Causation in the Law of Marine Insurance Wan Izatul Asma Wan Talaat* I INTRODUCTION Since every event is the effect of some cause, causation is indeed a sig- nificant part in the law of insurance.' 0000385877 00000 n The term ‘Subrogation’ in the context of Insurance, has been defined in Black’s Law Dictionary as: ... it was explained by Chancellor Boyd in National Fire Insurance Co. In law ‘A’ has a legal right of action against ‘B’ for damages. If the … 0000003293 00000 n In this case, there are two causes of the mishap. 4209 words (17 pages) Law Essay. • Indemnity principle is a rule of insurance law which says an insurance policy should not confer a benefit greater in value than the loss suffered by the insured. When a result has been brought about by two or more causes, you must, in insurance law, look to the nearest cause, although the result would, no doubt, not have happened without the remote cause. %���� This doctrine says that the seller will not be responsible for this. The policies must all cover the same property and the same event, and all the policies must be in effect and enforceable. Causa proxima, non remota spectator is a Latin phrase which literally translates into ‘the immediate and not the remote cause are to be considered.’ Whenever the cause of any act or circumstance is need to be understood the immediate cause needs to be looked at and not the remote cause. Immediate or proximate means Proximate in efficiency and not necessarily in time. ��L~B�� The real cause of the loss must be considered while payment of the loss. See also Taylor v. Dunbar (1869) L.R. 206. If the real cause of loss is not insured, the insurance company is not liable to indemnify the loss sustained by the insured. The cause for the accident should be a direct cause for which an insurance is taken and it should not be a remote cause. 1. A. Adhesion Contracts Insurance contracts are not ordinary contracts." x��Z�o�8��AO����x$n���������=����α[n��~gH�"mQ�q(j[��p8�R�>�+;?�p;���ы����,��;=���eL������Q��2.$�,+�$E�ݽ���� ?~9=�#��'2'���oIv�����dZ��_���&���~==��D'ThJL$�h���Y�z�@ϝf�$�� Marine Insurance: The Doctrine of Proximate Cause and Insurance against War Risks at Sea. During the voyage, a hole was caused at the bottom of the ship. The ship was insured under a policy that covered perils of the seas, however excluded war risks. endobj Double insurance does not necessarily imply two policies -- there may be more. Under the policy, goods have been insured against damage likely to be caused by sea water. In the Concord Insurance case, supra at p 673I, the court again dealt with the complex legal questions which arise "where several factors concurrently or successively contribute to a single result and it is necessary to decide whether any particular one of them is to be regarded legally as a cause." 1 0 obj s�'�F�>^|>��a���=�"E>�#!�_S���JwN���J�H�m��]� In other words, the insurance company will pay compensation to the insured only when the cause of accident is directly related to the loss. Insurance is a contract based on utmost good faith. %%EOF This principle has been defined as the “Doctrine of Rights Substitution” which means that the insurer steps into the shoes of the insured after settling the claim or after compensating the loss. <]>> They are con-sidered adhesion contracts." endstream endobj 288 0 obj<> endobj 289 0 obj<>/MediaBox[0 0 612 792]/Resources<>/Font<>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI]>>/Type/Page>> endobj 290 0 obj<>/A<>/F 4>> endobj 291 0 obj<>/A<>/F 4>> endobj 292 0 obj<> endobj 293 0 obj<>stream – The syllabus will be based on UK law and practice. 0000003425 00000 n 310 0 obj<>stream Mr.A has taken a marine policyto cover the goods exported by him. Cause-in-fact is determined by the "but for" test: But for the action, the result would not have happened. Solvency Margin & Insurance … Presentation PDF Available. Principle of Causa Proxima (Nearest Cause). 34, No. �]2�x±i����� MrJustice Wright. The term ‘Subrogation’ in the context of Insurance, has been defined in Black’s Law Dictionary as: “The Principal under which an insurer that has paid a loss under an insurance policy is entitled to all the rights and remedies belonging to the insured against a third party with respect to any loss covered by the policy”. April 2002; Journal of African Law 46(01):59 - 91; DOI: 10.1017/S0221855302001797. doctrine of proximate cause has to be applied for the purpose of ascertaining which of the successive causes is the cause to which the loss is to be attributed within the intention of the policy.1 Doctrine of Proximate Cause Proximate cause refers to an action that leads to an unbroken chain of events; events that end with someone suffering a loss. It was also held that even if a fire insurance policy had usual exemptions from loss or damage from the explosion of some kind, the insurer settled the claim. Insurance law is the name given to practices of law surrounding insurance, including insurance policies and claims. Principle of Uberrimae fidei (Utmost Good Faith) Principle of Uberrimae fidei (a Latin phrase), or in … A ship was severely torpedoed and was in the process of sinking. 0000255081 00000 n 426 in which the Court of Appeal found two separate causes to be concurring causes and reached a similar conclusion. The relevant principles and approach would be no different in South African law which determines liability on the part of the insurer only if the loss or occurrence for which the claim is brought is the proximate result of the peril or at least one of the perils insured against. premium Occurrence of to compensate loss uncertain event caused by 4. No abstract provided. At the same time, it can file a law suit against Mr.Tom for $ 1.2 million, the market value of the house. 287 0 obj <> endobj London: The Solicitors' Law Stationery Society, Ltd.1927. 3. Insurance. 0000004956 00000 n The Six Principles in Insurance. But, in many instances, a peril of the sea was itself caused by some act of negligence on the part of the master or crew. If insurance company wins the case and collects $ 1.2 million from Mr. Tom, then the insurance company will retain $ 1 million (which it has already paid to Mr. John) plus other expenses such as court fees. <> – The April session will test the legal position as of 31st August of the preceding year. (2) As a principle of tort law, proximate cause refers to a doctrine by which a plaintiff must prove that the defendant’s actions set in motion a relatively short chain of events that could have reasonably been anticipated to lead to the plaintiff’s damages. Saqui and Lawrence v. Stearns [1911] 1 K.B. Law of Contracts 1.1. The maxim is “Causa-proxima non remota spectaturs”. 0000000776 00000 n Definition and Forms of contracts The law of contract is concerned about the legal enforceability of promises. An arrangement … ( For example Sea Pirates , Bad weather) ... Doctrine of utmost Good faith . Almost immediately there was a cyclonic storm and the ship sank. Immediate or proximate means Proximate in efficiency and not necessarily in time. If all of these conditions have been met and a … Through this hole, sea water has entered into the ship and damaged the goods insured. – The October session will test the legal position as of 28th February of the same year. This com-plexity is due, in part, to the nature and structure of insurance poli-cies and the substance of legal actions brought when a dispute arises between an insurer and an insured. �i#��^����*���a��Ly�NTެ�)��V�|Y��)DL�z��F����Zd�&&_Â�K����j���_C��I����o+$k��Qg7����vR8� !��^ȗ�W�������#�����o��)����u6��=�N��ܓ4�R�PD��{!�Ă�䄛�v��-g1�������Hm�R��st[b �P��qA Insurance is answer to these types of risks and uncertainties . They are con- sidered adhesion contracts." 0000004788 00000 n So, this principle is not of much practical importance in connection with life assurance, but in the following cases, the proximate causes arc observed in the life insurance, too. Academia.edu is a platform for academics to share research papers. Thus, 4 this type of regulation governs capitalization, reserve policies, rates and various other "back office" processes. Causa Proxima It is a rule of law that in actions on fire policies, full regard must be had to the causa proxima. Property insurance law is a highly … PDF | On Aug 1, 2019, Jaimin Kamleshbhai Patel published principles of insurance | Find, read and cite all the research you need on ResearchGate . Principle of Causa Proxima. A captain lost his course and took his ship grounded to try to pick out a lighthouse. startxref ��� ������4�m `�>.����*��BgSp��$qL�nx�J>�4iW&X4��>Ō^ ���v0}�qg�^Y� 2 0 obj 1- It is the oldest form of Modern Insurance (Common Law) 2- It provides the Protection against the perils of Sea . %PDF-1.5 %���� 4 0 obj ��c�� ��|M��O�� �B� ��51+�²"17B�S`��(j(�IH2��ѣA���3�l�6�!�={���!�#�xC���xq��| ��(CxQ�%�ˍ0��0��n��vBˈN,Fp]h����l�{�����bO��kH����� 0000254915 00000 n law has been emphasized in the preceding chapters, both the courts, and especially, a host of legal writers, have also pointed to the need to break with the past and, to retain from it, only that which is defensible. This espouses the important doctrine of 'proxima causa', which means that the loss must be connected to, or associated with, its supposed 'cause'. If the proximate cause of the loss is fire, the loss is recoverable. There are two types of causation in the law: cause-in-fact, and proximate cause. The action is a necessary condition, but may not be a sufficient condition, for the resulting injury. Thus, 4 this type of regulation governs capitalization, reserve policies, rates and various other "back office" processes. 0000003152 00000 n In the Concord Insurance case, supra at p 673I, the court again dealt with the complex legal questions which arise "where several factors concurrently or ... context of insurance law one would have prime regard to the provisions of the insurance policy. 1.Principle of utmost good faith: The principle of Uberrimae Fidei (a Latin phrase), or in simple English words, the Principle of Utmost Good Faith, is a very basic and first primary principle of insurance. Under a contract of marine insurance, as in any other contract of insurance, the … Insurance is the process in which the loses of few are shared by many persons who are equally exposed to same risks. ... Concept of “causa proxima or the proximate cause. 0000151666 00000 n It may be natural or unnatural. 0000138104 00000 n The realm of insurance law is difficult and complex. Contribution Principle Rules. the doctrine of Causa Proximo (Proximate Cause) is not applied because the insurer is bound to pay the amount of insurance whatever may be the reason of death. BANKING & INSURANCE: INSURANCE Insurance is a contract to pay compensation in certain eventualities (e.g., death, fire, theft, motor accident) in return for a… g��&�+"ީ��%Q1),�A5n��US�6�v���䙐1*�XҔ�l]��2��7Ѡ���m�@����I��^KX�ct�v?b>|C��Y"�}�o�A��{�7��%��l�~�#�2�9����+�R��#��̈́ K� ���N��*�T&oڍg\Mt�n� ��n�{ie�_. ���?���tVͰ:�39� p�9�O�lS�m�3�f������'�f�]C�vZ�{�S���;�d�"�ʠ�\���"Р�rU>l�:���f.Q�\�V����F�U��⥤d�a�r����P��`�.p��|��'\}���~�����@M�� Riot victims and the doctrine of 'proxima causa' in insurance law : the Lesotho experience. xref The maxim is “Sed causa proxima non-remota spectature” i.e. The real cause of the loss must be considered while payment of the loss. stream When a storm blew up, the ship sank. 1981, para. “Causa proxima, non remota, spectatur.” General average can be only, where there is some voluntary sacrifice or voluntary expense incurred for the common benefit. Causa proxima, non remota spectator is a Latin phrase which literally translates into ‘the immediate and not the remote cause are to be considered.’ Whenever the cause of any act or circumstance is need to be understood the immediate cause needs to be looked at and not the remote cause. If the proximate cause of the loss is fire, the loss is recoverable. Examples of Causa Proxima. The question, which is the causa proxima of a loss, can only arise where there are a succession of causes. (d)Doctrine of Causa Proxima (e) Doctrine of Warranty (e.1) Implied (e.2) Express . Proximate Cause — (1) The cause having the most significant impact in bringing about the loss under a first-party property insurance policy, when two or more independent perils operate at the same time (i.e., concurrently) to produce a loss. In other case law, Ionides v. Universal Marine Insurance Co. (1863). Norwich Union Fire Insurance Society Ltd (1918) illustrates that the causa proxima may not necessarily be the last event to occur. Insurance law is the practice of law surrounding insurance, including insurance policies and claims. ���m�{:�$W&•���[���co�Z>|w���}������W�U�X�fo�ֹ%������r����rf�O�ps�h�s��cz`�������MY�W�+L�x��������v� �s 1�JQ�:�Y'8�q��`�c��z�T�K?�`.�H,�B�!���୒5����� +.e���)�]�3]��e�m�m��Z�KG�R���% �:h'؞�ޜ�D. Causa Proxima It is a rule of law that in actions on fire policies, full regard must be had to the causa proxima. This must be direct, dominant, operative & efficient. 2 In Boon, the policy covered certain goods in a store building. If the product turns out to be defective or does not live up to its potential the seller will not be responsible for this. If the proximate cause of the loss is a peril insured against, the Insured can recover. Marine Insurance: The Doctrine of Proximate Cause and Insurance against War Risks at Sea. Incidentally A’ may also have comprehensive motor insurance which protects him against such losses. 0000002746 00000 n 57. When a result has been brought about by two or more causes, you must, in insurance law, look to the nearest cause, although the result would, no doubt, not have … ���7}א���ROxe�E��AZ"\! 6. The term causa proxima means nearest or proximate or immediate cause. The buyer himself is responsible for the choice he made. 0000138690 00000 n By the Hon. No insurance claim can succeed unless the loss is proximately caused by a peril insured against. Meaning & Definition of Marine Insurance Section 2( C&F ) & 3 of Marine Insurance Act 1963 defines Marine Insurance and includes movables … The question of who bears the losses which resulted from the riots in Lesotho in September 1998 raises complex questions on insurance law in general and of causation in particular. 3 0 obj The maxim is “Sed causa proxima non-remota spectature” i.e. 3. 0 Availability: Find a library where document is available. 4 C.P. CAUSA PROXIMA NON REMOTA SPECTATUR: THE DOCTRINE OF CAUSATION IN THE LAW OF MARINE INSURANCE. 287 24 Example of Principle of proximate cause. [The] rule to be applied is causa proxima non remota spectatur." (d)Doctrine of Causa Proxima (e) Doctrine of Warranty (e.1) Implied (e.2) Express �0v���$�Br An adhesion contract is normally a �#�i����z��h5����CƩ���@�y_{Ѩ���h04����zf�ւd0 �pS8��Љ@5y�� L� 5 Principal of utmost good faith: Under this insurance contract both the parties should have faith over each other. Under the policy, goods have been insured against damage likely to be caused by sea water. The insurance company may still have to pay out a claim if the policy holder's intoxication did not cause the accident. Principle of Causa Proxima (Nearest Cause). The cause for the accident should be a direct cause for which an insurance is taken and it should not be a remote cause. During the voyage, a hole was caused at the bottom of the ship. gݒuk'Ϟ$2+҈Yxw��!��B�EY^\�ެ 6�"g����k�8��'�m��f��,x��� &�0K28ҁ� S�"�,�ß�k�iGɎ�i�Yu)jx ̩��o |��ۿo����1nU�C�"K-�U�C"�Ģ�Մ�EƗU�>{�P�H�N4+#Z�(�x���b��Y0���SE�);��7��Ρ/N��N�j5��˲~ 0�1�{���:��l��Ll��bŻ��n����لj�%���' h5� Insurance is the process in which the loses of few are shared by many persons who are equally exposed to same risks. London: The Solicitors' Law Stationery Society, Ltd.1927. Indemnity is a guarantee to restore the insured to the position he or she was in before the uncertainincident that caused a loss for the insured. The maxim, “Causa proxima, non remota, spectatur,” is not of universal application in the law; and does not exclude incidental losses, flowing as a legal or natural consequence The realm of insurance law is difficult and complex. 0000000016 00000 n The ship was hit by a torpedo and despite the severe damage it still … x��W�OSW?���K(���D�T�X���f��H�n�U|�����s�mWyUA�G'��b4�c[������9%lә�u[4f��9���[e�?���=�|������w� h df0 ... (Leyland shipping Co. V. Norwich Union Fire … RIOT VICTIMS AND THE DOCTRINE OF PROXIMA CAUSA IN INSURANCE LAW: THE LESOTHO EXPERIENCE. In law, a proximate cause is an event sufficiently related to an injury that the courts deem the event to be the cause of that injury. 2. Causa proxima. At that time, marine policies covered vessels and cargo against the "perils of the seas"—grounding, collision, allision, inrush of water, and so forth. Insurance. This notion of enforceability is central to contract law. dA��F�@j�j���U����r��T?���YϘw)�5䈼��X��P]Nӑѝ��s�* ���.���I��L�0]9g���]��59���Oo��v��Q��>�>�ZLKL:�����®��K�3�odj����j���v�*��\��wN�[ck�/�{U��E��Q����)����&���fK ������umY�Gc霱۶���`�[��W�6�K��L�oU�z:�JP�3������=����3K�`@�n�yDNsPb 2. For example, suppose the night watchman falls asleep in the crow's n… 0000254673 00000 n If the cause is not fire but some other cause remotely connected with fire, it is not recoverable, unless specifically provided for. (It is the proximate cause, not the remote cause that should be looked into is still the guiding principle. endobj First, the hole that was caused in the bottom of the ship and second, the seepage of sea water into the ship. 3. This com-plexity is due, in part, to the nature and structure of insurance poli-cies and the substance of legal actions brought when a dispute arises between an insurer and an insured. This maxim of causation is applicable for both marine and general insurance. Some of the first causation questions to be litigated involved ocean marine policies issued by Lloyd's of London underwriters covering sailing vessels in the late 1700s and early 1800s. It can be broadly broken into three categories - regulation of the business of insurance; regulation of the content of insurance policies, especially with regard to consumer policies; and regulation of claim handling. Proximate cause, or the Latin Causa Proxima, relates to the cause of the loss in that the event of the peril insured against must be covered under the insurance contract (policy), and the dominant cause of the event must not be excluded. Vs. McLaren; “The doctrine of subrogation is a creature of equity not founded on contract, but arising out of relations of the parties. Established in 1985, Merlin Law Group is a leading insurance litigation law firm committed to assisting policyholders receive fair and just outcomes from their insurance companies. <>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI] >>/MediaBox[ 0 0 595.32 841.92] /Contents 4 0 R/Group<>/Tabs/S/StructParents 0>> 4- Elements of Marine Insurance Contract. The nearest cause of the damage caused t… An insurance contract comes into existence when one party makes an offer or proposal of a contract and the other party accepts the proposal. Under the doctrine of contribution, when an insurance company compensates the insured, it will be indemnified by the other insurance company to the extent of the policy taken by insured. About this Channel. Insurance Law Essentials Request Demo ... American courts began rejecting Bacon's maxim "non remota causa sed proxima spectator" in favor of the more modern or scientific view that the proximate cause was the first event that set the chain of events in motion culminating in the end result. 0000386114 00000 n An insurance contract comes into existence when one party makes an offer or proposal of a contract and the other party accepts the proposal. Co., 55 Ky. 427 (Ct. App. MEANING OF INSURANCE Insurance is contact in which insurance of indemnity company or insurer in consideration of certain agrees to pay certain sum periodical payment of money i.e. (Price 2s. It applies to all insurance contracts, which are contracts of indemnity. (Price 2s. ��t�� J�)j��x��.+5�'��"���˘��pgk~;/f#��44���wl[��^�z��u�����pH�Z�x���~�M @l�~K����f��WT�db� M~��m�J��cc���[O��V�8�5Ð����:�bb|NH�@J5,����4 #�Bj+�O�B��mC�$� V8 ��yI�Wger����b����7�%�w�T��{�?�M@����c5��G���v:E�( @l�A�jN�Ez�l� � <> Principal of utmost good faith: Under this insurance contract both the parties should have faith over each other. If the defendant’s actions were “proximate” or close enough in the chain of causation to have foreseeably led to the plaintiff’s damages, courts will … The maxim is “Causa-proxima non remota spectaturs”. The right of … If the cause is not fire but some other cause remotely connected with fire, it is not recoverable, unless specifically provided for. This channel is created with an aim to share the legal and technical knowledge with the students and legal fraternity. Insurance regulation that governs the business of insurance is typically aimed at assuring the solvency of insurance companies. 0000095819 00000 n ��V�V�K�?�X�D�~�� Re-insurance. (a.1)Subrogation (a)Doctrine Indemnity (a.2)Contribution (b)Doctrine Insurable Interest. 1.Principle of utmost good faith: The principle of Uberrimae Fidei (a Latin phrase), or in simple English words, the Principle of Utmost Good Faith, is a very basic and first primary principle of insurance. Cf. see the proximate cause and not the distant cause. x��V�n�0}���`��u�ۚ^��k���>t{���ִ[�a�?R�b9�c���R��!y,y~5��K&%�����If4p�Q,������a:�-d��]�L'G�?�ʼ@p�;��� So the doctrine attempts to make the buyer more conscious of his choices. As a client it is the duty of the … trailer The balance amount, if any will be given to Mr. John, the insured. Academia.edu is a platform for academics to share research papers. The following examples will help in illustrating the meaning of the doctrine of proximate cause: Example 1. Thus the policy may extend or limit the consequences covered by the policy, e g, by … A contract should be simple to be a valid contract. y)���`4��>X�?\��(�A#\�ug�:�����:'��Sz� Get this from a library! %PDF-1.5 By the Hon. See, for example: Montgomery v. Firemen's Ins. 8. The person entering into a contract should enter with his free consent. - Volume 3 Issue 2 - W. L. M. A. Adhesion Contracts Insurance contracts are not ordinary contracts." Law of Marine Insurance and Average, 16th ed. 0000005137 00000 n Share this: ... illustrates that the causa proxima may not necessarily be the last event to occur. However, the present school of thought has given this doctrine the status of a principle and, therefore, now-a-days it is considered to be one of the six principles of insurance, backed up by sound rules and legal dictum. Ivamy, General Principles of Insurance Law, 4th ed., p. 416. The principle (or doctrine) of subrogation is a corollary to the principle of indemnity and applies only to fire and marine insurances. In other words the rule of causa proxima means that the cause of the loss must be proximate or immediate and not remote. 0000096055 00000 n - … M.J.N had a fire insurance policy and therefore, they approached their insurance company. Not the distant cause insured, the ship and second, the hole was... Still reached the port, where repair work was started of Appeal found two causes... The port, where repair work was started his free consent that in actions on fire policies, full must. Proximately caused by Sea water insurance contract comes into existence when one party makes an offer or proposal a! Fire insurance Society Ltd ( 1918 ) illustrates that the law of contract is concerned about the and... Repair work was started few are shared by many persons who are equally exposed to same risks [. 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The same event, and proximate cause of the loss is recoverable would not have happened of causa... The perils of the buyer himself is responsible for the choice he made both parties! There are two causes of the ship and damaged the goods insured it not. Shipping Co. v. Norwich Union fire insurance Society Ltd ( 1918 ) illustrates that the causa proxima remota... The perils of Sea water immediately there was a cyclonic storm and the Doctrine of causa proxima means that cause. Under this insurance contract both the parties should have faith over each other be or. To all insurance contracts are not ordinary contracts. to the principle of causa proxima may not necessarily in.. Conscious of his choices Stationery Society, Ltd.1927 46 ( 01 ):59 - 91 ; DOI: 10.1017/S0221855302001797 insurance!: Montgomery v. Firemen 's Ins:... illustrates that the causa proxima remota. Law surrounding insurance, including insurance policies and claims Lawrence v. Stearns 1911... 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